Please use the code tags to show jobs and job output - otherwise, what you show as JCL, code or output may be misaligned.

The '$' usually aligns with where the error is found. I this case it seems to be at the INREC statement which suggests that you coded in column 1. If it were complaining of the SQZ parameter, the '$' would be aligned there.

Is there any other command other than SQZ in sort to achieve the above requirement. Please guide me on this.

Hope my requirement is clear.

Thanks.

If you are getting an error using SQZ then you probably are way behind installing PTF's. As is z/OS DFSORT V1R5 is out of service and is no longer supported. You should be using one of the supported releases - z/OS DFSORT V1R10 or z/OS DFSORT V1R12. The SQZ function is available for both of those releases.